Tel Aviv-based startup Prisma Photonics has secured $30 million in fresh funding to advance its optical fiber sensing technology for monitoring critical infrastructure. The round, led by Israeli defense tech fund Protego Ventures, comes as the company expands its AI-driven solutions to tackle threats like wildfires and grid damage, announced on October 15, 2025.
This investment highlights growing demand for smart monitoring systems amid rising climate challenges and security needs. Prisma Photonics aims to use the funds to scale operations, especially in the US market, where partnerships are already forming.
Company Roots and Mission
Prisma Photonics started in 2017, founded by electrical engineer Eran Inbar. The company focuses on turning everyday optical fibers into powerful tools for infrastructure protection.
Inbar, who also serves as CEO, built the startup around a simple yet innovative idea. Existing fiber optic cables, often buried underground or along power lines, can detect vibrations and changes without extra hardware.
The mission centers on safeguarding key assets like power grids and pipelines. With global infrastructure facing more strain from weather extremes and human threats, Prisma Photonics offers real-time alerts to prevent disasters.
Over the years, the company has grown from a small team to a key player in deep tech. Its base in Tel Aviv places it in Israel’s vibrant startup scene, known for defense and innovation.
Breakthrough in Optical Fiber Sensing
The core technology, called hyper-scan fiber sensing, uses AI to analyze signals from optical fibers. This setup turns cables into smart sensors that spot issues over vast distances, up to thousands of kilometers.
No new sensors or installations are needed. The system listens for unusual patterns, like the sound of digging near a pipeline or ice building on power lines.
Prisma Photonics combines machine learning with math-based algorithms. This mix allows quick threat classification, from natural events to deliberate sabotage.
Recent advancements include better detection for renewable energy integration. As grids add more solar and wind power, the technology helps manage fluctuations and maintain stability.
In a notable example, the company partnered with Great River Energy in January 2025. This deal deploys the system across Minnesota to monitor for icing and wildfires, using existing fibers for real-time data.
Details of the Latest Funding Round
The $30 million growth round builds on previous successes. Insight Partners, a major backer from earlier rounds, joined in again, showing strong confidence.
Protego Ventures, with its defense tech focus, led the investment. This aligns with Prisma Photonics’ applications in security, such as monitoring military perimeters.
The funds will support expansion, including new hires and US offices. The company plans to boost sales in North America, where grid resilience is a hot topic.
Here is a quick look at Prisma Photonics’ funding history:
| Year | Round Type | Amount Raised | Key Investors |
|---|---|---|---|
| 2022 | Series B | $20 million | Insight Partners |
| 2023 | Series C | $20 million | Insight Partners, SE Ventures |
| 2025 | Growth | $30 million | Protego Ventures, Insight Partners |
This progression shows steady growth, with total funding now over $70 million. Each round has fueled tech improvements and market reach.
Applications in Critical Infrastructure
Power grids face increasing risks from climate change. Prisma Photonics’ system detects wildfires early, giving utilities time to act.
In oil and gas, it watches pipelines for leaks or tampering. For security, it guards borders and compounds without visible equipment.
One key benefit is cost savings. Traditional monitoring requires expensive sensors, but this uses what’s already there.
The technology also aids the shift to net-zero emissions. By optimizing energy flow, it supports more renewables without blackouts.
Users report faster response times. For instance, it can alert to a falling tree on a power line before it causes an outage.
Challenges and Future Outlook
Like any startup, Prisma Photonics faces hurdles. Scaling AI across global networks requires handling massive data volumes.
Competition in fiber sensing is rising, with other firms eyeing similar tech. Yet, Prisma Photonics stands out with its sensor-free approach.
Looking ahead, the company eyes more partnerships. Expansion into Europe and Asia could follow US growth.
Experts predict the infrastructure monitoring market will hit $10 billion by 2030. Prisma Photonics is well-positioned to grab a share.
Inbar notes the tech’s versatility. It protects military sites one day and boosts clean energy the next.
Broader Impact on Society
This funding reflects broader trends in tech for sustainability. As extreme weather rises, tools like this could save lives and billions in damages.
For everyday people, it means more reliable power. Fewer outages during storms would benefit homes and businesses.
The startup also creates jobs in high-tech fields. Its growth supports Israel’s economy and global innovation.
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